Allegiant and the union representing 1,400 of its pilots have reached a tentative contract deal.
Voting is currently under way by members of Teamsters Local 2118 on the 24-month deal, which would serve as a bridge agreement while Allegiant continues to work through its merger with Sun Country Airlines, Allegiant pilot Andrew Pennartz told 69 News.
Pennartz operates out of Allegiant’s crew base at Lehigh Valley International Airport (ABE). He’s a member of the union but is not part of the negotiating team.
Allegiant’s pilots are working under the terms of a 2016 contract, which expired in 2021.
In 2024, pilots voted by 97 percent to authorize a strike. Last November, they held informational pickets at all 22 crew bases in the U.S., including at ABE.
According to an agreement summary posted on Local 2118’s website, the new deal includes $300 million in accrued retention bonuses that would be paid out to pilots, as well as enhanced retirement benefits, expanded leave protections and scheduling improvements.
The agreement also provides tiered wage increases based on seniority. For example, a captain who’s been with Allegiant for 12 years would see a bump from the current rate of $232 per hour to $320, to $345 in 2027 to $355 in 2028.
A first officer just starting out would get a bump from $57.67 to $107.28 per hour, eventually rising to $118.54 in 2028.
Pennartz said, while the offer is better than the deal pilots been working under for a decade, they were hoping for more. “This will get us closer, if you take all things combined: compensation, 401k contributions, and such. It ends up equating to roughly an average of about a 50% increase, if you add all that together, which is it’s better than we have, but it’s not ultimately what we are hoping to achieve in the long run.”
Voting will end on July 31. Pennartz said he’s hearing mixed reviews about the tentative agreement from his fellow pilots: “There’s a lot of people that say yes, let’s do it. There’s a lot of people that say no, absolutely not. This is not what we were looking for.”
If Allegiant’s pilots do vote to approve the deal, it becomes effective immediately and will serve as a bridge agreement until a joint Collective Bargaining Agreement (CBA) covering both Allegiant pilots and Sun Country pilots is achieved in the future.
Allegiant did not respond to 69 News’ request for comment on the tentative deal.
The low-cost carrier is the anchor airline at Lehigh Valley International in Hanover Township, Lehigh County. Of the four airlines that operate out of ABE, Allegiant is by far the most visible, offering more nonstop destinations than the other three combined.
Allegiant is based in Las Vegas, Nevada. In May, it completed its $1.5 billion acquisition of the Minnesota-based Sun Country Airlines. According to media reports, Sun Country recently cut hundreds of flights from its fall schedule, citing a lack of pilots.
According to the Air Line Pilots Association (ALPA), Sun Country employs about 680 pilots.